NMCCEA News:
New Mexico Child Care & Education Association (NMCCEA) celebrated the recent signing of the Tax Package, which includes a Gross Receipts Tax (GRT) deduction.
This deduction marks a significant victory for families reliant on childcare assistance, as well as for the private businesses that provide these essential services.
The GRT deduction is a monumental achievement that will reverberate positively throughout New Mexico. By lifting the burden of GRT payments from families reliant on childcare assistance, this policy shift not only eases financial strain but also reaffirms the state’s commitment to supporting its citizens.
Furthermore, the exemption acknowledges the vital role of private childcare businesses in providing essential services to communities.
“Securing the Gross Receipts Tax deduction is a significant triumph for New Mexico’s families and childcare providers alike. As a private childcare provider, I have witnessed firsthand the financial strain families face in accessing high quality childcare. This deduction not only alleviates that burden but also underscores the importance of making childcare truly accessible and affordable for all. It’s a step towards ensuring that every child in New Mexico has the opportunity to thrive, regardless of their family’s economic status.” – Barbara Luna Tedrow, owner of A Gold Star Academy & CDC in Farmington.
This recognition not only fosters economic growth but also strengthens the fabric of society by empowering small businesses to flourish. Moving forward, it is imperative to continue to prioritize policies that prioritize the well-being of families and the prosperity of small businesses, ensuring a brighter future for all New Mexicans.
It is crucial to emphasize that childcare assistance is not merely an entitlement program but a lifeline for working parents and those pursuing education or job training. The GRT exemption addresses a longstanding issue faced by low-income families, who were burdened with GRT payments despite receiving assistance. For these families, the exemption translates into tangible relief, ensuring that their hard-earned dollars go towards quality childcare rather than unnecessary taxes.
Moreover, the GRT deduction represents a crucial step towards achieving pay parity for private childcare businesses participating in NM Pre-K contracts. Historically, these businesses have operated at a financial disadvantage compared to public schools and non-profit centers. With the deduction in place, private childcare providers can now compete on a level playing field, ensuring that all children, regardless of the setting, receive high-quality early education experiences.
By signing the Tax Package, Governor Michelle Lujan Grisham has demonstrated her commitment to supporting New Mexico families and fostering a thriving business environment. This move not only alleviates financial burdens on low-income households but also promotes economic equity and opportunity for small business owners, particularly women and minority entrepreneurs.
It is important for the people of New Mexico to understand the broader implications of this GRT exemption. Beyond its immediate benefits for families and businesses, this policy reflects a commitment to investing in the state’s future. Access to affordable, high-quality childcare is not only essential for the current workforce but also lays the foundation for the next generation’s success.
This milestone is a result of the collaborative efforts of policymakers, advocates, and community leaders who championed the cause of childcare affordability and accessibility. This victory exemplifies what can be achieved when we people together to address pressing challenges facing the state.
“As we celebrate the historic signing of the Tax Package, we recognize this as a pivotal moment for New Mexico’s families and childcare providers. Our two-decade-long collaboration with dedicated legislators has culminated in this victory, underscoring the power of collective action in addressing the critical need for affordable, high-quality childcare. Today, we celebrate not just a policy change, but a testament to our shared dedication to building a brighter future for New Mexico.” –Barbara Luna Tedrow, owner of A Gold Star Academy & CDC in Farmington.
The GRT deduction is a win-win for New Mexico, benefiting families in need of childcare support and empowering small businesses to thrive. NMCCEA will continue to build upon this momentum and work towards a future where every child has access to the care and education they deserve.